The Victoria Park roundabout will be installed at the intersection of Goddard Road and Streatley Road at a cost of $166,667.
Mr Vuleta said the safety of residents was paramount in Victoria Park.
"Feedback received from the community through the Lathlain Traffic Management Study in 2014 indicated that the intersection of Goddard Street/Streatley Road in Lathlain was a safety concern to local residents," he said.
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READ NOW�A further assessment by Town technical staff showed that the intersection had a high number of right-angle crashes, which can cause significant injury and risk to road users.
"Goddard Street provides an important access route to Orrong Road for local residents and is also a bus route, therefore is heavily utilised."
He said of the nine crashes that occurred, seven of them were right-angle crashes.
Transport Minister Dean Nalder said the funding included $20 million from the State Government in 2015-16 and $5 million from local governments.
About 100 traffic locations in WA will receive attention.